Elizabeth Salaam 12:06 p.m., May 21
People Fleeing California, Says Economist Arthur Laffer, Who Did Just That
"Unfortunately, after a great start to his tenure, Governor Schwarzenegger has turned to the dark side, embracing unions and massive spending and borrowing, to go along with the state's already oppressive tax burden," says supply side economist Arthur Laffer. "Not surprisingly, people are fleeing the state in the face of anti-growth policies," complains Laffer, noting a huge budget shortfall, and predicting a downgrade in California's general obligation debt. Laffer is following his own advice. About a year ago, he moved his operation, Laffer Associates, from its longtime base of San Diego to Nashville, Tennessee.